Ban Phuc Nickel Mine - Asian Mineral Resources Cash Generating Platform

In case you missed one of our last 2014 press releases, we appointed a new general manager, Tim Ashworth, to run the Ban Phuc operations. This is an important position with any company but all the more so for AMR. We’ve spent the last 10 years developing the mine and processing centre into a powerful cash-generating platform and now that it is well-established, we can launch a number of growth initiatives.

Before I get into some of our operations highlights, I want to touch on the benefits from decisions we made early on to investstrongly in local development.

AMR has been developing the Ban Phuc operation in Vietnam for many years. During that time we have hired, trained and worked with the local population wherever and whenever possible. As a result, we have a highly skilled local workforce, superb community relations and very strong government support. In fact, our in-country relationships have been helped us reach the stage where the government’s national minerals strategy specifically identifies further development at Ban Phuc as a key component. For Vietnam, a nickel district is considered both desirable and attainable and AMR is working with the country at multiple levels to make that happen.

Ban Phuc Mine Highlights

  • High-grade ore body – TheBan Phuc MSV has an average reserve grade of 2.2% Ni, 1.0% Cu and 0.05% Co
  • Simple mining method - with capacity to produce 1,000 tonnes per day of ore
  • Low operational risk - Ore body accessed by adits on two separate levels
  • Multiple faces - Dual portals support multiple working faces, providing operating flexibility and potential to increase extraction rates for accelerated cash generation

Ban Phuc Processing Centre Highlights

  • Simple processing - The Ban Phuc processing plant uses simple and traditional sulphide flotation techniques
  • High recoveries - 85% Ni, 95% Cu, 85% Co
  • Low operating costs 
    • Low-cost, skilled workforce 
    • Cheap hydro power from grid (US$0.06/KWh)
    • Simple logistics
  • Clean concentrate - Favorable metallurgy and low ore impurities ensure concentrate is high quality and in demand
  • Excess capacity - Nameplate capacity of 1,500 tonnes per day is well above the current 1,000 tonnes per day production rate, offers the ability to quickly expand production by up to 30% with limited additional capex
  • Significant production profile
    • Run rate of up to 9,900 tonnes of nickel equivalent in concentrate per annum

Don’t hesitate to get in touch with any questions and be sure to sign up to our email distribution list.

Evan Spencer, CEO of Asian Mineral Resources

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